Chapter 3.28
MUNICIPAL UTILITY TAX
Sections:
3.28.040 Tax to be additional.
3.28.050 Tax based on gross receipts or electricity usage.
3.28.070 Credit for overpayment.
3.28.010 Definitions.
Unless the context otherwise requires, the following terms as used in this chapter shall be construed according to the definitions given in this section:
A. “Gross receipts” means the consideration received for the transmission of messages, or for distributing, supplying, furnishing, or selling gas, electricity, or water for use or consumption and not for resale, as the case may be; and for all services rendered in connection therewith value in money, whether received in money or otherwise, including cash, credit, services, and property of every kind and material and for all services rendered therewith; and shall be determined without any deduction on account of the cost of transmitting the messages without any deduction on account of the cost of the service, product, or commodity supplied, the cost of materials used, labor or service cost, or any other expenses whatsoever.
B. “Transmitting messages,” in addition to the usual and popular meaning of person to person communication, shall include the furnishing, for a consideration, of services or facilities (whether owned or leased), or both, to persons in connection with the transmission of messages where such persons do not, in turn, receive any consideration in connection therewith, but shall not include the furnishing of services or facilities to persons for the transmission of messages to the extent that any such services or facilities for the transmission of messages are furnished for a consideration, by such persons or other persons, for the transmission of messages.
C. “Utility service” means the product or service provided by a person engaged in the business of transmitting messages, or for distributing, supplying, furnishing, or selling gas, electricity, or water for use or consumption and not for resale, as the case may be; and for all services rendered in connection therewith.
D. “Person” means any natural individual, firm, trust, estate, partnership, association, joint stock company, joint venture, corporation, limited liability company, municipal corporation, the state or any of its political subdivisions, any state university created by statute, or a receiver, trustee, conservator or other representative appointed by order of any court.
E. “Person maintaining a place of business in this state” means any person having or maintaining within this state, directly or by a subsidiary or other affiliate, an office, generation, facility, distribution facility, transmission facility, sales office or other place of business, or any employee, agent, or other representative operating within this state under the authority of the person or its subsidiary or other affiliate, irrespective of whether such place of business or agent or other representative is located in this state permanently or temporarily, or whether such person, subsidiary or other affiliate is licensed or qualified to do business in this state.
F. “Purchase at retail” means any acquisition of an item by a purchaser for purposes of use or consumption, and not for resale, but shall not include the use of electricity by a public utility, as defined in Section 8-11-2 of the Illinois Municipal Code (65 ILCS 5/8-11-2), directly in the generation, production, transmission, delivery or sale of electricity.
G. “Purchaser” means any person who uses or consumes, within the corporate limits of the village of Riverdale, a utility service acquired in a purchase at retail, other than an exempt purchaser.
H. “Exempt purchaser” means the village of Riverdale.
I. “Tax collector” means the person delivering a utility service to a purchaser. (Ord. 2002-25 § 2, 2002; Ord. 98-36 § 1, 1998)
3.28.020 Tax imposed.
A tax is imposed on all persons engaged in the following occupations or privileges:
A. Persons engaged in the business of distributing, supplying, furnishing, or selling gas for use or consumption within the corporate limits of the village, and not for resale, at the rate of five percent of the gross receipts therefrom.
B. Persons engaged in the business of distributing, supplying, furnishing, or selling electricity for use or consumption within the corporate limits of the village, and not for resale, at the rate of five percent of the gross receipts therefrom. However, effective with all bills for the use and consumption of electricity issued on or after September 1, 1998, and pursuant to Section 8-11-2 of the Illinois Municipal Code (65 ILCS 5/8-11-2) and any and all other applicable authority, a tax is imposed upon the privilege of using or consuming electricity acquired in a purchase at retail and used or consumed within the corporate limits of the village of Riverdale at the following rates, calculated on a monthly basis for each purchaser:
1. For the first two thousand kilowatt-hours used or consumed in a month: 0.589 cents per kilowatt-hour;
2. For the next forty-eight thousand kilowatt-hours used or consumed in a month: 0.422 cents per kilowatt-hour;
3. For the next fifty thousand kilowatt-hours used or consumed in a month: 0.381 cents per kilowatt-hour;
4. For the next four hundred thousand kilowatt-hours used or consumed in a month: 0.282 cents per kilowatt-hour;
5. For the next five hundred thousand kilowatt-hours used or consumed in a month: 0.149 cents per kilowatt-hour,
6. For the next two million kilowatt-hours used or consumed in a month: 0.114 cents per kilowatt-hour;
7. For the next two million kilowatt-hours used or consumed in a month: 0.110 cents per kilowatt-hour;
8. For the next five million kilowatt-hours used or consumed in a month: 0.108 cents per kilowatt-hour;
9. For the next ten million kilowatt-hours used or consumed in a month: 0.103 cents per kilowatt-hour; and
10. For all electricity used or consumed in excess of twenty million kilowatt-hours in a month: 0.095 cents per kilowatt-hour.
C. Persons engaged in the business of distributing, supplying, furnishing, or selling water for use or consumption within the corporate limits of the village, and not for resale, at the rate of five percent of the gross receipts therefrom. (Ord. 2002-25 § 2, 2002; Ord. 99-27, 1999; Ord. 98-36 § 1, 1998)
3.28.030 Exclusions.
No tax is imposed by this chapter with respect to any transaction in interstate commerce or otherwise to the extent to which a business may not under the Constitution and statutes of the United States be made subject to taxation by this state or any political subdivision thereof, nor shall any persons engaged in the business of distributing, supplying, furnishing, or selling gas or electricity, or engaged in the business of transmitting messages be subject to taxation under the provisions of this chapter for such transactions as are or may become subject to taxation under the provisions of the Municipal Retailers’ Occupation Tax Act authorized by Section 8-11-1 of the Illinois Municipal Code, approved May 29, 1961, as amended. (Ord. 98-36 § 1, 1998)
3.28.040 Tax to be additional.
A. The tax shall be in addition to the payment of money, or value of products or services furnished to this municipality by the taxpayer as compensation for the use of its streets, alleys, or other public places, or installation and maintenance therein, thereon, or thereunder of poles, wires, pipes, or other equipment used in the operation of the taxpayer’s business.
B. This tax is in addition to all taxes, fees and other revenue measures imposed by the village of Riverdale, the state of Illinois, or any other political subdivision of the state. (Ord. 98-36 § 1, 1998)
3.28.050 Tax based on gross receipts or electricity usage.
A. The tax provided for herein shall be based on the gross receipts, as herein defined, actually paid by the taxpayer for services billed on or after the first day of August 1998. However, beginning with the first bill issued on or after September 1, 1998, the tax shall be imposed with respect to the use or consumption of electricity by residential customers; and with respect to the use or consumption of electricity by nonresidential customers beginning with the first bill issued to such customers for delivery services per Section 16-104 of the Public Utilities Act (220 ILCS 5/16-104), or the first bill issued to such customers on or after January 1, 2001, whichever issuance occurs sooner.
B. For bills issued on or after September 1, 1998, the tax imposed under this section shall not apply with respect to gross receipts pertaining to bills for the distribution, supply, furnishing, or sale of electricity where the use or consumption of the electricity is subject to the tax imposed under this chapter. (Ord. 98-36 § 1, 1998)
3.28.060 Returns – Payment.
A. On or before the last day of November 1986, each taxpayer shall make a return to the village collector for the month of October 1986, stating:
1. His name;
2. His principal place of business;
3. His gross receipts during those months upon the basis of which the tax is imposed;
4. Amount of tax;
5. Such other reasonable and related information as the corporate authorities may require.
B. On or before the last day of every month thereafter, each taxpayer shall make a list return to the village collector for the monthly period.
C. The taxpayer making the return herein provided for shall at the time of making the return, pay to the village collector the amount of tax herein imposed; provided, that in connection with any return the taxpayer may, if he so elects, report and pay an amount based upon his total billings of business subject to the tax during the period for which the return is made (exclusive of any amounts previously billed) with prompt adjustments of later payments based upon any differences between the billings and the taxable gross receipts. (Ord. 98-36 § 1, 1998)
3.28.070 Credit for overpayment.
If it shall appear that an amount of tax has been paid which was not due under the provisions of this chapter, whether as the result of a mistake of fact or an error of law, then such amount shall be credited against any tax due, or to become due, under this chapter from the taxpayer who made the erroneous payment; provided, that no amounts erroneously paid more than three years prior to the filing of a claim therefor shall be so credited. (Ord. 98-36 § 1, 1998)
3.28.080 Limitation.
No action to recover any amount of tax due under the provisions of this chapter shall be commenced more than three years after the due date of the amount. (Ord. 98-36 § 1, 1998)
3.28.090 Collection of tax.
A. The tax imposed under this chapter shall be collected from purchasers by the person maintaining a place of business in this state who delivers utility service to such purchasers. This tax shall constitute a debt of the purchaser to the person who delivers the utility service to the purchaser and is recoverable at the same time and in the same manner as the original charge for delivering the electricity.
B. Any tax required to be collected by this chapter, and any tax in fact collected, shall constitute a debt owed to the village of Riverdale by the person delivering the utility service; provided, that the person delivering utility service shall be allowed credit for such tax related to deliveries of the utility service the charges for which are written off as uncollectible; and provided further, that if such charges are thereafter collected, the delivering supplier shall be obligated to remit such tax.
C. Persons delivering utility service shall collect the tax from the purchaser by adding such tax to the gross charge for delivering the electricity. Persons delivering utility service shall also be authorized to add to such gross charge an amount equal to three percent of the tax they collect to reimburse them for their expenses incurred in keeping records, billing customers, preparing and filing returns, remitting the tax and supplying data to the village of Riverdale upon request. For purposes of this chapter, any partial payment of a billed amount not specifically identified by the purchaser shall be deemed to be for the delivery of utility services. (Ord. 98-36 § 1, 1998)
3.28.100 Electricity resales.
A. Electricity that is delivered to a person in the village of Riverdale shall be considered to be for use and consumption by that person unless the person receiving the electricity has an active resale number issued by the village clerk, and furnishes that number to the person who delivers the electricity, and certifies to that person that the sale is either entirely or partially nontaxable as a sale for resale.
B. If a person who receives electricity in the village of Riverdale claims to be an authorized reseller of electricity, that person shall apply to the village clerk for a resale number. The applicant shall state facts showing why it is not liable for the tax imposed by this chapter on any purchases of electricity and shall furnish such additional information as the village clerk may reasonably require.
C. Upon approval of the application, the village clerk shall assign a resale number to the applicant and shall certify the number to the applicant.
D. The village clerk may cancel the resale number of any person if the person fails to pay any tax payable under this chapter for electricity used or consumed by the person, or if the resale number was obtained through misrepresentation, or is no longer necessary because the person has discontinued making resales.
E. If a reseller has acquired electricity partly for use or consumption and partly for resale, the reseller shall pay the tax imposed by this chapter directly to the village on the amount of electricity that the reseller uses or consumes, and shall collect the tax pursuant to this chapter and remit the tax pursuant to this chapter on the amount of electricity delivered by the reseller to a purchaser.
F. Any person who delivers electricity to a reseller having an active resale number and complying with all other conditions of this section shall be excused from collecting and remitting the tax on any portion of the electricity delivered to the reseller; provided, that the person reports to the village clerk the total amount of electricity delivered to the reseller, and such other information that the village clerk may reasonably require. (Ord. 98-36 § 1, 1998)
3.28.110 Books and records.
Every tax collector, and every taxpayer required to pay the tax imposed by this chapter shall keep accurate books and records of its business or activity, including contemporaneous books and records denoting the transactions that gave rise, or may have given rise, to any tax liability under this chapter. The books and records shall be subject to and available for inspection at all times during business hours of the day. (Ord. 98-36 § 1, 1998)
3.28.200 Penalty.
Any taxpayer who fails to make a return, or who makes a fraudulent return, or who willfully violates any other provision of this chapter is guilty of a misdemeanor and upon conviction thereof, shall be fined not less than one hundred dollars nor more than the maximum amount allowed by the statutes of the state of Illinois in addition to court costs and in addition shall be liable in a civil action for the amount of tax due. (Ord. 98-36 § 1, 1998)